Stated Willingness-to-Pay for Organic Fruit and Pesticide Ban

Abstract

Income growth in highly industrialised countries has resulted in consumer choice of foodstuffs no longer being primarily influenced by basic factors such as price and organoleptic features. From this perspective, the present study sets out to evaluate how and to what extent consumer choice is influenced by the possible negative effects on health and environment caused by the consumption of fruit containing deposits of pesticides and chemical products.

The study describes the results of a survey which explores and estimates consumer willingness to pay in two forms: a yearly contribution for the abolition of the use of pesticides on fruit, and a premium price for organically grown apples guaranteed by a certified label. The same questionnaire was administered to two samples. The first was a conventional face-to-face survey of customers of large retail outlets located around Bologna (Italy); the second was an Internet sample. The discrete choice data were analysed by means of probit and tobit models to estimate the utility consumers attribute to organically grown fruit and to a pesticide ban. The research also addresses questions of validity and representativeness as a fundamental problem in web-based surveys.     

Limits to labels: The role of eco‐labels in the assessment of product sustainability and routes to sustainable consumption

There has been rapid development in the methods, data and protocols for the assessment of product sustainability over the past decade. Notwithstanding this welcome development, the widespread provision of sustainable products has not occurred. Moreover, indications from a myriad of surveys suggest that consumers remain full of intent to purchase sustainably, yet these stated preferences have not translated into a widespread uptake in the purchase of more sustainable products. Heightened interest in climate change over the past couple of years has led to rising calls for labelling to allow consumers to differentiate between more or less sustainable options. Such calls apparently assume that if consumers are presented with appropriate label information their purchases will change and more sustainable purchasing will result. For many observers these calls bring more than a ring of déjà vu as the failures (or at least unfulfilled expectations) of environmental labelling schemes of the past spring to mind. A review and assessment of eco‐labelling schemes is presented. Discussion focuses on the history, successes and failures of such schemes, and consideration of their potential role (or not) in future shifts towards sustainable consumption. Behavioural, social practice, institutional and infrastructure factors are considered and labelling, legislation and other options are explored. Conclusions are drawn regarding potential routes to sustainable consumption, with particular reference to eco‐labels.     

Label performance and the willingness to pay for Fair Trade coffee: a cross‐national perspective

In this paper, we investigate how label information detailing the performance of the Fair Trade labelling programme with respect to coffee affect consumers' willingness to pay in the US and in Germany. We provide respondents (university students in the US and Germany) information regarding the hypothetical benefits of the Fair Trade coffee programme on its intended beneficiaries on the production side [the revenue gains to participating marginal farmers (scope of the programme)] and, using stated preference conjoint methods, test how this performance criterion relates to the willingness to pay for Fair Trade coffee. Our empirical results identify a ‘threshold’ property of performance‐based labels. In effect, the willingness‐to‐pay for performance‐based Fair Trade labelled coffee exhibits an inverted U shape in the sense that the willingness to pay is positively related to the scope of the programme, but only up to a critical level. Thereafter, the willingness to pay declines as the income gains to participating growers increase further. Interestingly, this inverted U property is exhibited by both the US and German respondents with different critical thresholds.     

Children as co‐researchers voicing their preferences in foods and eating: methodological reflections

There is an increasing and sustained interest in participatory research with children. We subscribe to these new perspectives by involving children as co‐researchers investigating their preferences when it comes to foods and eating. The overall aim of the research project Sustainable Eating Children's Way: Promoting Healthy Food Habits among Children 10–12 (Barn som medforskare i matlandskap) is to create an understanding of how children's food habits can develop in healthier and more sustainable ways. The specific aim of this paper was to discuss the methods used in the first phase of the project in order to find an answer to the question: ‘Is it possible to gain a deeper and more nuanced understanding of children's preferences in foods and eating?’ The research process in this project can be looked upon as two parallel processes: the overall one initiated by the senior research team and the one incorporating the children as co‐researchers. The children participating were 10‐year‐olds attending two classes in the fourth grade of a Swedish government‐funded school. We found the children knowledgeable and competent as co‐researchers. Involving children in the research processes and giving them freedom to explore is a promising way of letting their voices be heard in health promotion programmes.     

Organic consumers’ preferences and willingness‐to‐pay for locally produced animal products

In Germany, a large share of organic animal products is being produced with imported protein feedstuffs. Products labelled as ‘local’ are also often produced with imported feed. At the point of purchase, animal products are not usually labelled with any information on the feed that was used to produce it. Therefore, it remains unclear what consumers think about the use of imported feed, in particular in the case of products labelled as ‘local’. The aim of the present research study was to analyse whether the use of local feed represents an option for successful product differentiation in the organic animal products market. Discrete Choice Experiments and computer assisted personal interviews were conducted with 597 organic consumers in Germany to investigate their preferences and willingness‐to‐pay for local organic animal products produced with local feed. The choice experiments revealed a strong preference for local feed. The outcome of our investigation also shows that the provision of information on feed imports into Germany can be an important tool for promoting organic animal products produced with local feed. The results suggest the use of local feed could be an option for successful product differentiation in the organic animal products market, especially if effort is put into raising consumer awareness of current organic feed importation practices.     

The extent of marketability and consumer preferences for traditional leafy vegetables – a case study at selected markets in Ghana

This paper reports on a survey conducted at two major marketing centres in Ghana; Tamale in the dry savannah zone and Kumasi in the forest zone. One hundred traders were interviewed using a semi‐structured questionnaire and focus groups discussions held on traders’ perceptions and consumer preferences, relative importance and indigenous nutritional knowledge of traditional leafy vegetables (TLVs). The survey established that, with the exception of Xanthosoma mafafa (cocoyam leaves), inter‐market distribution of TLVs is limited because of their perishable nature, narrow utilization base and lack of storage techniques. Socio‐culturally related factors limiting the distribution of TLVs include regional diversity and ethnic differences in the dietary patterns of the Ghanaian populace, inadequate knowledge about the methods of preparations as well as nutritional and medicinal values of TLVs. The most preferred TLVs as reflected in the consumers’ buying behaviour and traders’ perceptions are Xanthosoma mafafa (cocoyam leaves), Corchorus spp.(Ayoyo), Amaranthus spp (Alefu) and Hibicus sabdariffa (Bra). The order of preference in the forest zone is Xanthosoma mafafa (cocoyam leaves) > Corchorus spp.(Ayoyo) > Amaranthus spp (Alefu) > Hibicus sabdariffa (Bra), while the reverse order pertains in the savannah zone.     

Manufacturer Support for a Partially Integrated Channel in South Korea: Power‐dependence vs. Marketing Effectiveness Perspective

This article introduces the unique context of a partially‐integrated channel (PIC) that incorporates both market and hierarchical governance forms. In so doing, it examines determinants of the manufacturer's support for a PIC. Using power‐dependence and marketing effectiveness theories, we collected data from 172 marketing managers in charge of PICs in 15 companies in South Korea. The results showed that from the power‐dependence perspective, demand volatility, manufacturer's competitive intensity, and channel concentration are positively related to a manufacturer's dependence on the retailer, which is positively related to the manufacturer's support for the PIC with a retailer. From a marketing effectiveness perspective, channel bonding and customer linking are positively associated with manufacturer marketing effectiveness, which is an antecedent to PIC support for a retailer. Copyright © 2013 ASAC. Published by John Wiley & Sons, Ltd.